BERLIN (MNI) – German tax revenue growth slowed in December but
full-year results still exceeded the upwardly revised projections from
November, the Finance Ministry said Friday.
Total tax revenue (excluding local taxes) in December was 4.1%
higher on the year. For the full year, it rose by 7.9%, surpassing the
government’s forecast of +7.5%.
Federal tax revenue in December was 6.4% higher on the year, but
the result was skewed to the upside by lower transfers to the EU, the
ministry remarked. For the full year, federal tax revenue increased by
9.8%. The government’s tax estimate commission had forecast a 9.2% rise.
Pointing to the slowing trend in tax revenues, Deputy Finance
Minister Thomas Steffen stressed the need for further budget
consolidation.
In the economic section of its report, the ministry predicted that
the German economy would regain momentum this year after the expected
weakening during the winter half-year.
–Berlin bureau: +49 30 2262 0580; email: twidder@marketnews.com
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